Pursuing Target 1 Million Barrels, Indonesia Needs 18 Billion US Dollars Per Year Until 2030

Oil and gas illustration (Photo: Doc. Antara)

JAKARTA - The government has set oil and gas lifting targets for 2030, namely 1 million barrels of oil per day (BOPD) and 12 billion standard cubic feet of gas per day (BSCFD).

To achieve this target, Deputy Head of SKK Migas Nanang Abdul Manaf revealed that Indonesia needs an average investment in the upstream oil and gas sector of US$18 billion per year.

"Until 2030, an average investment of 18 billion US dollars per year is needed," said Nanang, quoted on Thursday, September 14.

Meanwhile, Nanang continued, investment realization in the last three years that has continued to increase shows that currently the upstream mgias investment climate in Idnonesia continues to improve.

"However, it must continue to be improved and improved because currently Indonesia is still ranked 9th out of 14 countries in Asia Pacific in terms of investment attraction," Nanang continued.

Nanang explained, based on SKK Migas data, in the last three years, the value of investment in the upstream oil and gas sector has continued to increase

This year, investment in upstream oil and gas is targeted to reach 15.5 billion US dollars or 26 percent higher than the 2022 realization. The target is also recorded to be n higher than the global investment growth of 6.5 percent.

Although the investment climate continues to improve, Nanang said that Indonesia still has to compete with other countries in attracting investors.

On the other hand, Nanang said that issues that still hinder efforts to increase investment attraction in the upstream oil and gas sector need to be found solutions immediately.

Nanang said the increase in investment would encourage more massive upstream oil and gas operational activities, so activities such as workover, well service, drilling exploration and drilling of exploitation would continue to increase.

"Currently, the target for drilling development wells as many as 991 wells with prognosis can be completed by 919 wells. If investment continues to increase, then one day drilling development wells can reach above 1,000 wells, so it is also necessary to prepare permits, land, the environment and other social communities," concluded Nanang.